In the world of forex trade, the risk for loss cannot be avoided, but if you often experience facing loss streak, traders often feel they don't accept it. This is the role of trader psychology. This can disrupt the system that has been determined and will be implemented.
If it is not immediately resolved it will make it even more difficult for traders both psychologically and resulting on bad trading. If you don't get the idea to get out of the problem, you can feel frustrated and lose control of the trading.
Below is an important discussion from a forex trader who has successfully overcome psychological problems due to losing streaks. These are some of the emergency measures written down so that traders do not experience stress and frustration. The more bounce back to normal trading again.
Take a Short Break and Look for the Cause of Facing Loss Streak
When you experience frustration or confusion in your mind after getting big or losing streaks, then stop your activities immediately. Because it's time to rest your mind and body. Immediately forget about the complexities of positions that have just become losing trades.
If there is a position that is still open, leave it alone, so that it will comply with your trading rules. The purpose of this break is so that you can get a clear mind about the next steps to get up. This method is often ignored by many traders.
Facing loss streak can be caused by several factors, for example in a chaotic mind, stress, excessive pleasure, or what is called euphoria, and lack of discipline. Such mental pressure can make traders continue to fall into wrong methods such as over-trading.
If you don't look for where your mistakes came from, your mind will still remain that your method was still right, and you will continue to open positions again. This is what can make people neglectful and experience losing streaks, which is very bad thing to do.
After you understand the location of the mistakes that have occurred in the previous system, it is better if you review the plan or plan that you have chosen. Research your journal for periods of consecutive losses.
Is it correct with the amount of the target loss set or even greater than the target loss? If you exceed your target loss, then your system must be fixed once again. Best forex broker will help you to resolve this problem by giving you tips.
Review the Trading Plan Implementation
1. Study the journal in the period of consecutive losses
After knowing the causal factors outside the trading system you are using, the next step is to review the implementation of the plan that you have agreed on. View your trading journal when facing loss streak.
Actually, trading requires consistency of strategies that have been compiled in a trading journal. Indeed, the strategy does not immediately succeed or generate profits immediately.
2. Act like a professional trader
The next step is an improvement. Act like a professional, identify the root causes of problems, then make corrections. When treated as a business, it is like a business, it can provide huge benefits. You can learn this together with the Didimax forex broker so that you can get lots of tips about trading that can help you.
The world of forex trading is indeed very attractive because of the low capital required, trades that can take place 24 hours a day, from Monday to Saturday early morning, as well as the enormous potential for opportunities. For that, understanding the tips when facing loss streak in forex will be very helpful.
